PFS Bancorp, Inc.

PFS Bancorp, Inc. is a Maryland corporation organized in March 1994 to serve as the savings and loan holding company for Penn Federal Savings Bank. PFS Bancorp, Inc. owns all of the outstanding common stock of Penn Federal Savings Bank. The company's common stock trades on the Nasdaq Global Market Tier of the Nasdaq Stock Market under the symbol "PFSB." PFS Bancorp, Inc. and Penn Federal Savings Bank are community-oriented financial institutions offering a variety of financial services. The company attracts deposits from the general public, which, along with borrowings and other funds, are used to originate and purchase one-to-four-family residential mortgage loans. To a lesser extent, the company also originates commercial and multi-family real estate loans and consumer loans. Additionally, the company invests in mortgage-backed securities secured by one-to-four-family residential mortgages, U.S. government agency obligations, and other permissible investments. Penn Federal Savings Bank offers various deposit accounts with a wide range of interest rates and terms, including savings, money market, checking accounts, and certificate accounts. Deposits are generally solicited in its primary market areas and are insured up to applicable limits by the Federal Deposit Insurance Corporation (FDIC). Penn Federal Savings Bank also offers uninsured non-deposit investment products and, through its wholly-owned subsidiary, Penn Savings Insurance Agency, Inc., provides insurance products to its customers. As of June 30, 2006, PFS Bancorp, Inc. had total assets of approximately $2.3 billion, deposits of $1.4 billion, borrowings of $748 million, and stockholders' equity of $123 million.